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To: Seamus McKenna who wrote (87239)11/30/2000 10:56:48 AM
From: Elwood P. Dowd  Respond to of 97611
 
As I've opined here before, the feds will change the bias to neutral at the next meeting. That will begin the process. El



To: Seamus McKenna who wrote (87239)11/30/2000 10:57:43 AM
From: Windseye  Read Replies (1) | Respond to of 97611
 
What Greenspan has created he has to moderate....

<<<<In 1998, at the time of the Long Term Capital Management (LTCM) collapse, Greenspan & the Fed lowered rates specifically to save the markets. At what
point do they take the view that the markets need to be saved again?>>>>

I think the most striking part of this downturn is how little the market is actually responding to the election indecision... it "appears" to be about the indecisiveness, but it is the grasdual bursting of the internet bubble and, because of the interest rate pressures, the unwinding of all the balloonish tenacles in all of the rest of the tech companies causing this pain. Obviously we see this as an over reaction, but as El says it will take a fair amount of time for the market to gain stability again... where stability means companies are valued closer to what they actually are (perfomrance, influence, criticality, etc.). Meanwhile we bathe (wallow) in the PIG PEN!

DJ



To: Seamus McKenna who wrote (87239)11/30/2000 11:11:56 AM
From: Bosco  Respond to of 97611
 
<ot>Hi Seamus - I believe Chairman Greenspan has gone "on the record" in one of his speeches in Spring/Summer saying the mkt should not expect the Fed to bail it out next time around. Too bad I was too clueless to decipher the message

best, Bosco



To: Seamus McKenna who wrote (87239)11/30/2000 11:31:12 AM
From: MeDroogies  Read Replies (2) | Respond to of 97611
 
AG has been waiting for this and feels that they don't need saving because there is no underlying threat to the health and welfare of the economy.
I can't say I disagree.
However, there are alot of investors who may turn horribly pessimistic in a way that COULD damage the health and welfare of the economy if he doesn't do SOMETHING like issue a neutral bias.